April 17, 2010
Goldman knowingly pitched worthless mortgage securities to clueless investors who took more than a billion dollar bath. The SEC and anybody who has two brain cells to rub together know this is massive criminal fraud.
But according to Jim Cramer it is business as usual. “Goldman does not sell washing machines. They do not sell vacuum cleaners. They sell pieces of paper that are fully disclosed, and you can go long or short them based on the info. There is no guarantee. There never has been,” writes the carnival barker for the world’s largest sucker casino.
Cramer thinks you’re an idiot. In fact, Goldman Sachs did not disclose to “investors” (suckers, marks, victims) that the toxic securities were cobbled together with input from a client who was betting they would crash and burn.
Goldman Sachs Sells Subprime Fraud
- A d v e r t i s e m e n t
Goldman client Paulson & Co., a hedge fund, paid Goldman around $15 million in 2007 to come up with an investment tied to mortgage-related securities that the hedge fund expected to fail. Paulson took out an insurance policy that allowed it to make a huge profit when the value of those securities went cascading down a black hole.
“Goldman wrongly permitted a client that was betting against the mortgage market to heavily influence which mortgage securities to include in an investment portfolio, while telling other investors that the securities were selected by an independent, objective third party,” SEC Enforcement Director Robert Khuzami said in a statement.
Matt Taibbi summarizes: “GS teamed up with a hedgie named John Paulson (no relation) to make the biggest ball of subprime shit they could, got short of it by credit-default-swapping it, then roped third parties into buying it.”
Cramer should have said: Goldman sells criminal fraud, but he won’t say that because it is his job to get the chumps and fools to play the big rigged casino and lose their shorts.
Converting the United States into a Third World Backwater
Goldman is at the epicenter of the bankster plan to loot the once great United States and convert it into a third world backwater of misery and untold human suffering. Goldman’s huge pump-and-dump scam manipulated whole sectors of the economy and brought speculative bubbles crashing down in an organized fashion. It was not merely greed, as the corporate media would have you believe, but a finely tooled machine designed to turn you and your children into serfs and paupers.
Expect a few patsies to be sacrificed and the game to continue. Expect the whores in the district of criminals to ram through a “consumer protection” bill that will give even more authority to the Federal Reserve.
More Power to the Bankster Fed
From the Obama website:
It’s time to hold the big banks accountable to the people they serve, establish the strongest consumer protections in our nation’s history — and ensure that taxpayers will never again be forced to bail out irresponsible Wall Street millionaires because their firms are called “too big to fail.”
Obama wants you to sign up and support his effort to “[c]reate the strongest consumer protections in history.”
On April 13, Fed boss Ben Bernanke told the National Bankers Association Foundation in Washington the Fed is “committed to developing and enforcing strong rules to protect consumers.”
Translation: the Federal Reserve is committed to making sure a proposed consumer financial services watchdog is blind, deaf, and dumb. Obama and Congress are hucksters for this plan.
“The Treasury, Fed, and Office of the Comptroller of the Currency are notoriously bank friendly,” notes Naked Capitalism. “Think they are gonna do anything to seriously inconvenience their charges? Not on your life.”
Deflecting the Anger of the Plebs
Moving “consumer protection” to the Federal Reserve is a way to make sure political pressure is deflected. Even though the Obama administration is packed with bankster operatives, at least to a certain extent it is answerable to the public, albeit weakly.
It’s all about insulation. “Congress was prepared to strip the Fed of some of its authority three years ago due to its abysmal failure to do anything about subprime abuses, even in the face of rising defaults, media coverage of fraud, and pressure from Capitol Hill. Now Dodd is prepared to reward the Fed for the very same conduct he roundly criticized three years ago. We can only assume he has already started serving his post-Congressional constituency.”
Senator Chris Dodd, Chairman of the Senate Committee on Banking, Housing, and Urban Affairs, came up with the brilliant idea to pass legislation establishing a new independent Consumer Protection Bureau at the Federal Reserve Board. Senate Majority Leader Harry Reid wants the Senate to hand regulation over to the Fed on a silver platter by the end of May.
The Great Swindle will continue until the United States is picked clean and finally reduced to a wasteland.
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